Interesting to see BNP launching a Broker neutral cross asset agency execution service for buyside firms.

The outsourced dealing solution is designed to meet an industry trend towards outsourcing from asset managers and owners, as they seek cost efficiencies in the face of heightened regulatory demands and increasing technology expenditure.

“The raft of regulatory requirements has, and will have a dramatic impact on markets, market infrastructure and their participants. We continue to see the search for liquidity get ever harder as markets fragment and banks withdraw further from putting balance sheets at risk.”

GreySpark has just released the results of their Annual e-Commerce Report: ” Trends in e-Commerce and Electronic Trading 2012″.

GreySpark outlines that propositions must now evolve, or sellside franchises will decline. The new regulations have a significant impact on the growth of e-commerce and electronic trading. Continue reading →

“We think we can make the systematic internaliser (SI) category work for single-dealer platforms,” she says.

“We thought this was the better way – rather than amend the multilateral element of OTFs, we will try to adapt the SIs.”

SIs allow trades to be executed against the owner’s proprietary capital, and are not required to involve multiple market-makers – but they are not recognised by Mifid as a platform on which standardised OTC derivatives can be executed. Swinburne hopes to change that.

Full article here, (or use this link for google reach, and select first article) and our previous comments on this topic here

The conclusion of the paper, being that SDPs would continue to thrive, providing clients with access to liquidity, both on a bi-lateral basis, as well as providing some form of SEF/OTF liquidity aggregation, and smart order routing through to mandated execution venues, as required for cleared products.

In recent weeks, some concerns have been raised (misplaced in my opinion) that Continue reading →